Shares of video-streaming service Netflix, Inc (NFLX) are popping over 3% in pre-market hours Friday after Canaccord’s Michael Graham initiated the name with a ‘Buy’ rating and $120 price target, implying 26.3% expected return. The analyst has a favorable view on international subscriber growth, but notes valuation will continue to be a challenge.
NFLX closed at $91.48 at the end of Thursday’s trading session, printing a one-year loss of 2.30%, and year-to-date loss of around 20%. Shares have declined 9.88% in the last 4 weeks and 13.45% in the past three months. Over the past 5 trading sessions the stock has lost 0.20%.
Netflix stock begins July on a modestly positive note with the name indicated up more than 3 points pre-market. Despite the relatively strong start to the month, NFLX still prints a 30% decline since last December.